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U.s. 17, Us 17, Spiriva 10, China 9, S&p 8, Garth 7, Hp Moonshot 7, Copd 6, Obama 5, Ackman 5, Expedia 5, Nicole Petallides 5, Pennsylvania 5, New York 5, Detroit 5, Washington 4, Hp 4, Europe 4, London 4, Tracy 4,
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  FOX Business    Markets Now    News/Business.  
   Business news. New.  

    August 9, 2013
    1:00 - 3:01pm EDT  

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lori: time to take profit and run. the first weekly loss in seven weeks. the rising concern that stocks are overvalued. adam: ready for a getaway or get away on business? expecting prices to rise this year, we will check in with the world's largest online travel company, expedia. lori: sometimes it may seem like you live at the office, but what if you really did? coworkers cohabitating and all, the l.a. startup keeping business under one roof. we have a selloff on the way, folks. the flow of the new york stock exchange check in with nicole petallides for the first time this hour. making the weekly winning streak. nicole:) six straight weeks of gains, today it is a down day, like the other most of the days have seen on wall street since yesterday. it certainly does appear that
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after six straight weeks of gains we will get some back in the market. i also wanted to take a look at some ipos that have been something we have been following very closely. up 160%, but some of the other names today. an ipo and sword, up 80%. it is an interesting market we have been seeing and when you talk about the market, 1700 level or back below that of the s&p 500, really an interesting article about top strategists and many of them have price targets for a year and that are 1700 above including jpmorgan, merrill lynch, goldman sachs, they are pretty high up like jpmorgan 1775 year-end target. don't be too disappointed. back to you. adam: could blackberry go private?
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the company is actually open to the idea of allowing the company to fix itself without the scrutiny of being publicly traded, but would want to purchase the struggling smartphone maker? i want to bring in the president of the tech blog to answer that question. am i holding obsolete technology my hand or is there a future for blackberry? >> it is like picking the last kid in basketball. they may be on your team, but will they really help? adam: i was a last kid pix i am offended in that. what are they betting on? the company gets sold off in bits and pieces? they are down year to date almost 22%. >> there down tremendously worth 84 billion in 2008, now worth 4.9. have just under 8000 patents. that right there is were almost
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all of their value is pitted 2.9% global phone share is not that much. one thing they bring to the table is they have approval in the department of defense. possible suitor, these are stretch even at best. chinese companies which pose her own problems. most likely consorting with investors. adam: is like stepping in to say studebaker, does not make sense. the question about blackberry, there are comparisons to dell. the reason he want to go private is to transfe transform it intoa software services company. i don't understand what library does if it goes private. isn't that what the future holds for them? >> it would seem the precursor to a fire sale. it really takes them out of the public eye. sort of get it right. it would be the savior. they went on to say this is what is going to save blackberry.
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people are going to love it and it has failed abysmally. they could not burn cash any faster. something will have to happen very soon. adam: any idea how much cash you have on hand at this point? >> i don't know. but it is around .5 billion. adam: if you're looking at this stock as i am right now up to date almost 7%, who is actually buying it? >> there has got to be someone. i would think if somebody was stepping in and purchasing it a likely partner would be the combination of microsoft teaming up with tokyo. there are rumors of an acquisition, those could be rekindled. adam: i thought nokia and where they were going were ahead of blackberry. >> they are, but they could help in the enterprise patent, they could use to perhaps push
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windows phone into more certifications. adam: we appreciate you being here. one day it may be worth something in the future. thank you very much, sir. lori: president obama is set to announce new measures and efforts to restore the public's trust in government surveillance programs coming on the heels of the closed-door meeting on privacy at the white house. president obama met with tim cook, stevenson and a host of other tech industry executives to talk spying, privacy and security in an effort to find a balance between the three. full detail expected at the news conference today and fox business will have live coverage of the event beginning at 3:00 p.m. eastern. adam: oil snapped a losing streak surgeon about $105 per barrel on bullish economic reports out of china. phil flynn is in the trading pits of the cme. don't you take a real risk in believing the economic numbers out of china?
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>> you do, changes from week to week. everybody was writing china off. they were selling oil on bad economic data. all the sudden china cannot get enough. yesterday china imported more oil than they ever have before. oil actually went down. today strong manufacturing data out of china reuniting the bulls. we will have to rebuild them, they will go up. strong demand in the u.s. and of course a terror threat making traders a lot more leery of being too short way into the weekend. up $2 on crude, driving everything up as well. adam: you're talking about the report helping as well. is it possible on monday or tuesday we see them go the opposite direction? >> i think it is very possible because the u.s. production is
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soaring. it is amazing with in the biggest jump in demand we have seen in this country an in a coe of years. remember all of those refiners that were down for maintenance all summer. they're coming back online in a big way and are able to refine more oil than they ever have before. so all of a sudden they're sucking down oil like it is going out of style. when we get the product buildup, the demand surge may slow because we're going into the slower season and will have plenty of supply at that point. adam: thank you very much. lori: also making headlines, activist investor bill ackman sending a letter to the board of jcpenney urging the chairman to be replaced. also saying i think jcpenney is a very critical stage in its history and very existence is at risk. this all comes after the letter yesterday to replace interim ceo, that news driving shares up
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in yesterday's trading action. jp penny chairman firing back. cindy have made significant progress. and the london whale reportedly will not be facing charges related to the $6.2 billion in trading losses at jpmorgan. he works out of the london losses and incurred losses in the derivatives market. the sec is investigating the trading loss and could be close to a deal requiring jpmorgan to pay a penalty and admit some fault. stock momentum is sizzling if you will. the streak in danger here. is this a pullback so many have said was on the way? adam: and ahead, virgin air new take on in-flight entertainment. lori: and really happy together, new trend emerging among startups and corporations where
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employees work and live under one roof. adam: no way. right now, 7 years of music is being streamed. a quarter million tweeters are tweeting. and 900 million dollars are changing hands online. that's why hp built a new kind of server. one that's 80% smaller. uses 89% less energy. onand costs 77% less.r. it's called hp moonshot. and it's giving the internet the room it needs to grow. this&is gonna be big.
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lori: all right, major averages on track to end the week in the red for the first time in many weeks. seven effect. are we finally seen the pullback so many investors have said had to be on its way? managing partner, pleased to have him join us in what he things are some of the big risks right now to the market. the s&p 500 index is up 19% year to date, so are the financial news outlets pointing out the forward p/e of the s&p is for your high right now. so if you believe the market is overvalued, are you seeing some vulnerability is that what we see translated to trading action this week? >> there are lots of factors that can play into a 10% downside, the stocks from where
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they are here. i have not seen for a couple of weeks, not only higher rates, i was a higher rates number one is the biggest risk for the stock market as we know today. lori: the point is if complete have to incur higher borrowing costs they will not spend much to improve or grow business, et cetera. >> we had a huge run-up in rates. 100 basis points different today than where we were at the end of may. companies when they look to expand, couple of things they take advantage of in the capitalization. the present value of what we're doing, how can we expand and how much is the cost of capital going to be i in the near and intermediate term. 100 basis points difference makes business growth harder today than it was just two or three months ago.
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lori: where are we headed from here? when bernanke pulls the trigger it starts tapering, which most people think will happen by the end of this year, what will ultimately happen to the market? wilalicea continued selloff? will the bond rate increase? a lot are looking for a yield rally through the duration of the year. >> i think there is potential for an organic increase in rates 2240 basis points. if it ended at 3%, that would not surprise us but you have to think they are not stopping kind of the steroids, they are just not having as much. lori: just the hint ben bernanke gave, the test spooked the market. >> the market now has probably priced in that initial spook. lori: or is it price to get in now decline?
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>> i do think for the next couple of months probably rates will be arranged down. we are not seeing a lot of triggers that could get us from where we are today up to the three plus range. that is actually not as negative for stocks as it could be. later in the year you have to really think about financing, what they will be doing and also the other thing i have to point out is the cost of oil in the u.s. is something we haven't talked a lot about. $91 at the beginning of the year, 105 today. every time we have a sustained increase in the price, it takes off about .2% of gdp. lori: i want to talk about the other side of higher interest rates. it is not necessarily always bad news. paid for retirees. if you are a bond investor in
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high-yield. high-yield is normalizing now, is that a fair point? >> earlier in the year when you were looking at the global search for yield, people were kind of entering into high-yield trades maybe they didn't understand yielding four, four and .5%. right now talking about a high-yield asset class yielding 6%. much more attractive entry point. lori: a pleasure, enjoy your weekend. adam: check your investments on the floor of the new york stock exchange. nicole petallides is watching the rates, who is in the lead? nicole: it is always fun to look at the highflying stocks. i know berkshire hathaway, the issue to some shares that were a lot more affordable. priceline, which got very close to the $1000 mark.
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priceline is at $980 at the moment. apple at 455. watching these three names very closely. apple was above $700 per share, over $600, that gives you the largest market capitalization. we have watched google around $700 mark and priceline closer to 995 today. priceline had the quarterly numbers showing more bookings for rental cars and hotels. adam: we will be watching, thank you very much. lori: the latest developments on steve cohen delaying this election. while the fed move forward with their criminal case against the hedge fund. the sec filed action back in the july alleging he failed to
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prevent illegal insider trading by performing managers at the hedge fund one of the largest in the country. he faces possible fines and could be barred from managing investor funds. he does refute these claims. adam: expedia on summer travel. the easiest way to get them. we will check in with largest online company in the world. lori: back inside with dennis kneale. his exclusive interview with disney's magic man. next.
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>> 20 minutes past the hour, this is your fox news minute. u.s. government has evacuated nonessential staff from pakistan's second-largest city due to what it says is a specific threat to the conflict. consulate. there have a number of debit tax in washington is warning americans not to travel to that country. fire officials say the 16,000-acre wildfire in the mountains east of los angeles is
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now 25% contained but the conditions are very dangerous. the flames hav destroyed 26 homs and are threatening more than 500 others. 1800 people have been forced to flee. new jersey county spokesman saying the 16 workers who share one of the three winning powerball tickets are asking for their privacy now. they all showed up for work yesterday and some are working today. employees will split $58 million after taxes if taken in a lump sum. those are your headlines in a lump sum. the two back now to lori and adam. lori: we are still here it the lone ranger failing to give disney the popular hoping for the summer box office. dennis kneale got a chance to ask bob iger.
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more known his exquisite and few with the disney ceo. adam: i've known the guy for long time, clearly a very capable ceo. disney faring pretty well. then came a loss on "the lone ranger" and you get beat around. what happens is disney is so big it has to take huge bets even with a sometimes fail. >> we don't second-guess our temple strategy at all, from time to time with disappointing results. we're not going to alter our strategies. adam: $1.3 billion worldwide. they succeeded. we also asked about video games. they have a launch starting next week, disney has been pretty much a failure in video games. let's see that.
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adam: you take the character, put it in some sort of a plug on your machine and that opens up extra possibilities in the game, right? >> dennis, you are great at describing technology. it comes with a peripheral that plugs into your counsel and basically just a pad, you get characters with the game, characters coming as a pack with the game itself and you can buy more characters. this is a game. lori: i went to show off the technology and upcoming event, is that a page of the apple playbook to bring people in? loriadam: it is kind of one of e fan shows. apple made it popular. there are tens of thousands of people going there, 40 characters in the disney channel to meet people, disney products.
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you asked the uncomfortable question about the movies, what happens going forward? could they lose big on the "star wars" reboot? adam: they will have some failures but they can more than a for that because "iron man 3" offset downfall from "the lone ranger." a fan base for "star wars," if they make a bad film, it is going to flop. they will come out with the seventh one. lori: you focus on what is working hashtag espn, the themepark or rebuild what you are failing on? >> the big flaws is that 80% of your time on failures trying to patch holes in this work and
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succeeds. iger may be better on what succeeds. adam: e-mail service used shutdown, now the business owner says he cannot tell us why. lori: the summer winding down but it is not too late to get away. largest onl company next. she's still the one for you - you know it even after all these years. but your erectiledysfun- you know,that could be a question of blood flow. cialis tadalafil for daily use helps you be rdy anytime the moment's right. you can be more confident in your ability to be ready.
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all your imptant legal matters in just minutes. protect youramily... and launch your dreams. at legalzoom.com we put the law on your side. bounce is great because the freshness lasts for weeks in the drawer. why can't everythi stay fresh that long? [ male announcer ] how do you get your bounce? [ man ] lasting freshness. adam: want to check your investments and head back to the floor of the new york stock exchange where nicole petallides is watching the gap, right, nicole.
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>> right, i'm watching the gap. i actually went to a gap recently. i will get to that in a moment. but let's look how the stock is faring today. it was downgraded. stock is down nearly 3%, $44.19 a share. we're watching the gap, year-to-date it has been a stellar performer, up about 42%, clearly outpacing our major averages but today at that was downgraded over at susquehanna. that may be win of the reasons why you're seeing it pull back. now they have a rating from neutral from positive. that is valuation call. it has really run up a lot so they're taking a little breather. back to you. >> all have to sufficientwer a little valuation call i suppose. thank you. >> thanks. lori: email service allegedly used by nsa leaker edward snowden is halting operations as it prepares to go to court against the u.s. government. peter barnes is at the white house with more. peter? >> lava bid was encrypted email
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service linked to nsa leaker edward snowden. it shut down hinting it was under government investigation. the owner wrote on his website he was forced to make a difficult decision. after difficult sole so searching i decide decide sod suspend operations. i wish i would legally share with you but i can not. that might suggest he is would be under a gag order and going to court over this. lavabit has encryption that the message is only red by sender and receiver. u.s. law allows intelligence agencies to gather the emails under court order. law havebit was the service edward snowden used to send a human rights watch a second email service, silent mail was shut down by its owners yesterday. they wrote on their blog, quote, we see the writings on the wall.
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we decided it is best for us to shut down silent mail now. we have not received subpoenas, warrants security letters or anything else by any government. this is why we are acting now. all of this news on these encrypted services comes as the president met yesterday with top tech executives to talk about national security, privacy and data collection. lori? lori: peter barnes, thank you, sir. adam: global business spending is projected to grow more than 5% this year and over 7% for the next four years. expedia is helping with a mobile app allowing travelers to book flights, hotels, cars and manage their trips. joining us now is expedia senior vice president of global products john kim. thanks for being here on the fox business network. this app is allowing people this, happens to us on the road, last minute, divert here, stay another day there. the app actually making it easier to do that? how so? >> it makes it easier two things, one what we've done we
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launched an itinerary product we put all your trip details at your fingerprints and give you noteifications based on the go status, flight context, flight status updates, gate change updates. we make it super easy for to you book if you want to stay extra day and providing mobile exclusive deals on the app. adam: in second quarter your total bookings were up actually 13%. revenue was up 16% but costs went up 33%. what is going up with cost this is quarter? are you able to bring it down a little bit? might perhaps do better in the third quarter. >> that's a great question, adam. because we're a portfolio company there are at love variables how you think about the cost. my job in the product world is to focus on future and growth. my focus right now is about mobile. adam: what will be next. the app that you have in the mobile world, in fact is it now most people are booking travel on mobile devices or still going to pcs? what is next for the app? >> i think what we're seeing,
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we're seeing a shift in demand. we're people planning on desktops and booking more on mobile. as tablets are taking off we're seeing more tablet usage. what we see next we'll continue innovating. i think we're preparing for a big tablet release later on this year. adam: so in the form of, when you talk about a big tablet release, how will that app be different than say, on a smartphone. >> the difference a lot of app providers or developers, do development app for a phone and then they will try to make it bigger to the tablet. we've had a different strategy. we want to relook at the tablet and build it from the ground up just thinking that the tablet was only device in existence. try to make it beautiful, something that you could browse and use. adam: who has given you the most competition out there as far as apps for tablets and mobile devices? is it spin-off, trip advisor? is it orbitz? who is in your rear view mirror, give you that? >> we have a very unique position. we provide bookings and do it on
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a global basis. we have flagship hotels to provide packages. we're sort of distinct and unique from that perspective. on mobile i feel like we stand out because of the design and beauty of our app and painstaking work and effort that we put making sure every single pixel is perfect. adam: out of curiosity, what percentage of revenue just from expedia from mobile use of the app as opposed to going on pcs? >> right now what we see, we see a trend that's growing so i think it is growing every single day. i don't have the numbers at my fingerprints. the way you think about it is, give you a sense in terms of its growth is that in march we had launched itinerary feature and we had 11 million downloads. four months later we're rounding 16 million downloads. that gives awe sense with regard to the growth of the mobile app. adam: john, thanks for being here from expedia. all the best to you. >> thank you so much, adam. adam: lori? lori: we have breaking news
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jcpenney. jcpenney's chairman firing back at hedge fund owner, bill ackman by the way also jcpenney board member. the chairman calling ackman's call to replace him as chairman and classifying ackman's statements this morning misleading and inaccurate and engibous says the search for a ceo continues. they will update us with any developments as soon as it is appropriate to do so. meantime, ford, toyota, gm shares up anywhere 60 to 80% the past year alone. we will talk up next what may drive the impressive stock runs even higher. adam: are you grabbing lunch? sure you are. a happy hour drink? absolutely. how about living with your cowork officers no way. how we'll take you inside the company whose employees live and work under the same roof but no pant at this hose hanging from the shower curtain.
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>> i'm tracy byrnes with the fox business brief. convicted ponzi-schemer bernie madoff willed trial in october 7th. new york judge refused to delay
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the fraud trial. defense attorneys objected to the wording of indictment alleging some defendants were told to commit fraud. number of americans rye announcing their citizenship surge in the second quarter. this is according to irs listing. 1130 americans gave upset send ship. that is highest number recorded in a single quarter. irs crackdown on u.s. taxpayers living abroad cited as possible factor. boeing and asiana airlines are being sued for negligence by three families over the deadly flight 214. two people died and 180 were injured when the july 6th flight crashed. that is latest from the fox business network, giving you the power to prosper.
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adam: so after the great recession hit the u.s. fewer young people were buying cars but as the economy began its sluggish revival, well, the
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youths are slowly making it back into the car market. fox car report editor is here now with what is actually driving the youths into the dealership. why are they coming back to the dealership? i thought younger people were giving up on driving? >> they have money again. the story was they didn't care about cars and they were on social media. the fact the matter they didn't have jobs. they're starting to get a little more of that and starting to get more back into the market. lori: the key phrase, a little bit. things are not so great. is it young people spending hard-earned dollars or maybe their parents? are the car companies actually looking to impress people with the thick wallets who are making the purchases and investments? >> sure they're getting a lost help. a lot of them just live at home. that is the way, they don't have to pay rent. this helps as well. you need a car nowadays that is going to appeal to the kids. they're putting a lost technology into it. one of the problems the car companies are having they're trying to put a lot of technology into the car and now they're starting to realize, you know what?
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we need to work with technology they're bringing into the car, smartphones. trying to integrate that a little bit better, rather than selling you $2,000 infotainment system. adam: what are we going to lose? cd players are on the way out. what else might be on way out? >> cd players are on way out. chevy spark doesn't come with un. they're a option on a lost cars. $56,000 jeep grand cherokee, and cd player was an extra. they jam them unceremony justly into the center console. new chevy impala if i recall correctly. transition from cassettes to cds took a longer transition from cds to portable media device. the cast cassette player didn't go extinct until 2011. it was in lexus product. last time you got factory installed cassette player. i think last cd player will be tooner. adam: last week, right? >> exactly.
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lori: gary, what models, what manufacturers are hottest among younger buyers right now? >> kia is popular brand, the kia soul. they are going after the low-priced model. there are great cars for 14, $15,000. i drove updated ford fiesta. this is perfect example. $15,000 car. has a bluetooth. and putting my touch ford into the buyer. adam: don't carmakers face a problem, fewer people are getting drivers licenses? not only older people but younger people? fewer number have a license to drive to begin with. >> hard to tell if this is chicken and egg situation. i would love to own a plane some day but haven't gotten a pilot's license because i can't afford a plane. i think same thing with cars. they might be into cars, look i'm not buying a car. why would i waste my time getting drivers license. in these days, states have tiered licensing systems. pay lot of money for schools. a lot different than our drivers
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license. even getting a license is a expense. if you will not buy a car on other side why bother until you have a money for a car? adam: gary, thanks very much. >> that is an encouraging trend, right, bigger picture. adam: bigger picture. lori: let's get a bigger picture on the markets today. keith bliss from the floor of the new york stock exchange. keith, the dow is down 58 points, well off the worst levels of the question. there is a lot of talk and question whether markets are overvalued. what is your take what is going on today? >> that is precisely what we're trading off this week and today. as we kind of limping into the weekend we're in the middle vacation season. i'm not sure you candies certain too much on low volume days. you're right, lori, number one, people are concerned about valuations that may have gotten ahead of actual earnings especially with the second-quarter earnings season we saw. revenues, per share were not great. most of the companies beat because the analysts readjusted their projections but also sales were not great. lori: right. >> other problem is the taper talk is just gaining speed. and it will until we get to the
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next meeting in sent. lori: all right. we can only blame the doldrums in the summer for so long. what do you expect the next catalyst for investors may be? >> we'll have to see what happens after we do welcome pleat the earnings season right now. we're still, we still look at it from a technical standpoint, we're in an intermediate long-term bull lush trend. that is not violated. we wouldn't get there until 1680 on s&p. we don't get concerned about s&p 500 until we trade back to 1645. we think if we go back to that. that is very healthy reaction to the market. people should go in and scooping up bargains at that point in time. we think long-term trend and posture inside the market is bullish. lori: 1645 is your end point on market average. keith brings bliss thank you very much. >> my pleasure. lori: gerri willis will talk with bill emerson from detroit. he runs the long largest online mortgage lender. "the willis report," 6:00 and
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9:00 p.m. adam: americans can't get enough of "sharknado." the campy movie is twitter sensation, so much so sci-fi launch ad contest to name the sequel. after 5000 title submissions, the winner is, are you ready for this? "sharknado" 2 the second one. look out shark fans, a storm is coming to your tv next summer. lori: can't put your finger on why, but that movie is an absolute sensation. adam: like the old american international films from the '60s that they used to run on tv, sci-fi films real low budget and made no sense and they make a gazillion dollars. with all the sharks and agents in los angeles, you would think sharks would be out there. lori: there was a shark on the subway in new york. that was little scary. adam: picture of kids found it on the beach and took it on the n train i think. lori: absolutely. more on "sharknado." when sleeping on the job might be a good thing. a company that has employees
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living and working together. adam: call this the mile high comedy club. virgin air's plan to keep you laughing on their next flight. ♪ right now, 7 years of music is being streamed. a quarter million tweeters are tweeting. and 900 milln dollars are changing hands online. that's why hp built a new kind of server. one that's 80% smaller. uses 89% less energy. and costs 77% less. it's called hp moonshot. and it's giving the internet the room it needs to grow. this&is gonna be big. hp moonshot. it's time to build a better enterprise. together. to fly home for the big family reunion. you must be garth's father? hello. mother. mother! traveling is easy with the venture card because you can fly any airline anytime.
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lori: work together and live together? the new trend emerging among startups and corporations alike but is it productive? blurring the line between professional appersonal? nancy is the ceo of company called end plug. this is digital billboard company run out after house in belleair, california, where nancy and 12 of the company's 37 employees all live together. welcome to you. >> hi, thanks, lori.
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lori: you work to live. you don't live to work. but what you're doing is counterintuitive many ways. give me a sense what you're experience is like? >> it has been fantastic. it is one of the best decisions our start up could have made when we first began last summer. it is extremely productive. people have the time of their lives right now. adam: hi, it is adam shapiro here and i was reading about this. the company itself is phenomenal how quickly you got running. a bunch of you are in your 20s. it's a lot of fun. i read you pull all-nighters writing code and crash until noon and writing code. that might work until 20s and start to get married and family? the kibbutz thing doesn't always work out real well? >> we do have folks in the house that are married and folks in the house in their 30s and 40s. it is pretty diverse range of teammates. not just folks in their 20s. people balance it very well.
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they have all of our teammates as part of their family. lori: so then when happens when you need a break from each other? i mean i need a break from adam, my colleague just like i need a break from my family at home. that is why i have the balance of coming to work and leaving work and going home? >> we definitely have that balance because people do take trips. people take vacation. i certainly will go home and visit colorado whenever i need a break. we always do lots of team trips together to the beach. we do barbecues. and, because we -- lori: are you always still together. what happens when there is fallout or disagreement? >> i mean -- adam: a whole lot of body contact. a fight to the finish, right? >> it is still very professional how we interact with each other. we respect people's privacy. if there is argument we work it out like anyone in a company would be. adam: i will ask you two questions here, one, your growth is phenomenal. these digital addition plays throughout different cities. you have something going here?
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who cleans the bathroom. you're the ceo. i'm serious. do you have bathroom duty? what happens with the inevitable hr problem. and someone with a problem and off to hr you are going to go? >> i have to say as ceo like everyone's personal secretary making sure everything is running smoothly. i wash the dishes. i share the bathroom with everybody else. adam: do you clean the bathroom? are you ceo? i don't see lloyd blankfein cleaning the bathroom with his goldman sachs buddys. >> we have a housekeeper comes in once a month. lori: there must be some savings, right? there are tax savings for you with this certain setup, because you have a home office. you must have a tremendous writeoff in the business, no? >> yes it is. so part of the reason we did this, not just to improve our team culture t was financially one of the best decisions. >> can you give me a sense what kind of percentage savings up cure? >> i think we, just from rent, everything, we save probably 25% by living together. lori: okay.
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listen, good luck to you with the business, nancy. wonderful to have you join us this afternoon. >> thank you, lori. lori: i don't think this would work for us. adam: no, it would not. not without a lot of vodka or scotch. i just flew in from london, boy are my arms tired. no, that is not my night job. that joke may not be too far from reality, unexpected shift from comedy, that is not come by the way, virgin atlantic will offer live stand-up comedy out of little red flights out of heathrow. in the coming months they hope to include live music entertainment as well the there you go. virgin atlantic founder richard branson, it is all an effort to shake up domestic fly negotiate united kingdom. lori: as long as they don't serve tomatoes or salad products. adam: people could throw stuff. lori: that was the humor. adam: a lot of flight attendants would like to throw the passengers off, when you're unruly, play that word game where you take off. we won't go there. lori: shares after rare drugmaker nps pharmaceuticals
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soaring following the company's second-quarter earnings. shares up 25% today, look at that! nearly up 100% over the year. the company's ceo will join tracy and ashley next hour with a look at what is in the pipeline and whether it is likely a takeover target. (announcer) at scottrade, our clients trade and invest exactly how they want. with scottrade's online banking, i get one view of my bank and brokerage accounts with one login... to easily move my money when i need to. plus, when i call my local scottrade office, i can talk to someone who knows how i trade. because i don't trade like everi'm with scottrade. me. (announcer) scottrade. awarded five-stars from smartmoney magazine.
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we do? i took the trash out. i know. and thank you so much for that. i think we should get a medicare supplement insurance plan. right now? [ male announcer ] whether you're new to medicare or not, you may know it only covers about 80% of your part b medical expenses. it's up to you to pay the difference. so think about an aarp medicare supplement insurance plan, insured by unitedhealthcare insurance company. like all standardized medicare supplement insurance plans, they help cover some of what medire doesn't pay call now. with a medicare supplement plan, you'll be able to stay with your doctor. oh, you know, i ve that guy. mm-hmm.
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[ male announcer ] these types of plans let you visit any doctor or hospital that accepts medicare patients. and there are no networks. you do your push-ups today? prepare to be amazed. [ male announcer ] don't wait. call tod to request your free decision guide and find the aarp medicare supplement plan to go the distance with you. go long. tracy: good afternoon, i'm tracy byrnes. ashley: i'm ashley webster. the dow is on track for the first weekly loss in seven weeks. the question is, are stocks overvalued? we'll ask raymond james chief investment strategist, jeff saut. tracy: president obama gives a news conference in the next hour and will head out, to vacation. what about all the unfinished business he is leaving on his desk. ashley: forget about it. nps pharmaceuticals introducing its first drug this year and shares are taking off. the company's ceo, dr. francois
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nader will look with us at what else is in the company's pipeline. top of the hour. time to look at stocks. let's head straight down to the new york stock exchange with nicole petallides down there as always. nicole at least the stocks are off the lows of the day. >> we're seeing some improvement and that is absolutely right. we were down 125 points at one point. we saw the down arrows. we've seen the 10-year yield come in a little bit. it was around 2.6 and change. now it is at 2.58%. so we're watching the dollar which also came off its highs. so things are all coming a little more central at the moment on the back half of the day. the dow jones industrials are down 61 points. ashley, you noted we did have six straight weeks of gains. however, as you both well know, this looks like it could be the week we'll snap that winning streak. right now, that is a one-week chart. the move is to the downside and unlikely to be a race. looks like it will be a down
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week on wall street. other thing worth nnting, economists and market strategists will be more specific. continue to have targets with s&p 500. right now sitting at 1693, many of them have targets. 1730, 1750, 1760 they still continue to believe the market is trading higher later into the year. ashley: that is critical level. nicole, thanks so much we'll be back with you in 15 minutes. tracy: let's talk about more of the markets. with a downbeat tone on wall street our next guest says there is a potential for a bigger pull back. joining us jeff saut, raymond james chief investment strategist. jeff, i think you have a right to take a little bit of a victory lap right here, on july 19th you said you made yourself one of your three best calls ever in your career. markets though, they kind of fizzled a little. you're saying the plunge hasn't
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happened yet. >> i don't know if it will be a plunge, tracy. we targeted mid-july, to mid-august time frame as a potential turndown for the equity markets for the first meaningful decliie of the year. a lot of things coming together into that call. timing models. quantitative easing models. the seasonality. you will hear some yelps out of washington, d.c. before the adjournment i think august 2nd. you have a dearth of news between now and the next fed meeting. the stars have aligned right here for some kind of a pullback and i think the nail will be in the coffin if you break below 1684. tracy: the thing is, there are some things that are happening. all we need is for one to go bad, right? it is just an excuse for everyone to kind of sell for a while. >> quell, yeah, a lot of people are on holiday. the europeans are on holiday. so, you know, this is the best chance we've had this year. i do think if we get a decent pullback it is for buying because i agree with other strategists. i think we'll be higher by
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year-end. i think the economy resets and earnings will continue to come in better than most people think. tracy: what is the one thing people are missing in this market? >> oh, i think they're is missing a lot of things. this move towards energy independence is massive. if you would have told me five years ago we would be producing 800,000 barrels a day out of bakken on its way to a million barrels a day by year-end i would have said you're crazy. it is not just the bakken. it is going on in a bunch of other resources around the country. tracy: we're seeing collapse though of market caps. does that bother you? >> that's a very good point because you have had a drop in the market capitalization of u.s. markets between buybacks. between 10 to one reverse splits with things like citigroup, with share repurchases, and you've still got a lot of m there trying to chase fewers stocks if you will. so i think the odds that we're in a secular bull market are, remain pretty high. so i am a buyer on a pullback but more than a five or 6%
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pullback. tracy: you have the other camp saying you know what? the market is overvalued right now. they're almost scaring people away from getting in it? >> when the markets broke out of the 66 to 82 wide swinging trading range like we've done in the wide swinging trading range between 2000 and 2013, it took professional money four years before they start in aggregate embrace stocks and the public didn't come back in until '87 after the zap was up 13% in one month and then they got scared again. if past is prelude, we're in a new secular bull market. it will prove itself in couple years ahead. valuations are not that expensive, if you throw out the case-shiller adjusted pe, we're trading about 13.8, 13.9 next year's estimates. >> that is the best point because money managers, everyone in general, we keep saying it is the most hated rally in history, right? so money managers put all their money in defensive stocks. to your point now, they're
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totally overvalued. you're saying you would buy on any dip. what would you buying? >> i like just about all the sectors except for telecommunications, consumer staples and utilities. that is exactly right. because a lost professional money managers have not believed the rally since november and they have had to put money to work. so they put it to work in the defensive sectors. tracy: right. as a result they're completely overvalued. you're looking tech, financials, things like that. before i let you go, what is your thought on overseas? >> oh, well the great rotation that has been taking place for the past year, is out of non-u.s. equities and into u.s. equities. every international portfolio manager i talk to throughout europe and i was just up in montreal and toronto for a week talking to pms up there, everyone i wants talked to wants to increase weighting to u.s. equities. >> boy, isn't that wild. sir, this could be one of your
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three big calls of your career. you're great. come back. >> thank you, trace. ashley: time to deliver some breaking news, the united states postal service posting a net loss of $740 million in the third quarter. that ended june 30th. increasing by the way the year-to-date net loss to 3.9 billion. ouch. but the post office says the loss could have been worse. efforts to contain costs and increase efficiency along with a decrease in workers compensation helped to stem the losses. which in itself is a sad statement. tracy: i was going to say. is that supposed to be consolation? ashley: i guess. that is a lot of money to lose, 3.9 billion in nine months. all right a busy day for the president before he heads out of town for a family vacation. peter barnes is at the white house before the president takes off. peter. >> we're previewing his press conference at the 3:00 hour, ashley. we have lots of questions for the president on domestic and foreign policy fronts. he is very likely to be asked about the u.s.-russia
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relationship which will of course lead to questions about nsa leaker edward snowden and the controversial nsa surveillance programs. the white house says the president will announce new measures at the press conference to increase transparency and restore public trust in those measures. as you snow, the russia questions come because the president canceled his meeting with president vladmir putin in moscow that was scheduled in sent over the snowden affair and other issues. other questions likely to come up? on al qaeda. closing of embassies and u.s. embassies and consulates in africa and the middle east. on the domestic front we could see questions about the president's budget battles. expect questions about the budget battle with republicans. possibly questions on obamacare. on the economy, if i get to, get a question, if i get picked i want to ask him about the next federal reserve chairman. as you know ben bernanke is likely to leave in january.
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president looking at these three candidates. also want to mention quickly that the president right now is signing that student loan bill that was passed by congress that would cut the interest rate on many student loans from 6.8%, it went up to that on july 1st, when the special deal expired, the president signed legislation that would tie the rate to the 10-year treasury note. so the rate will go down to 3.8 or 3.9 on many college students loans. ashley and tracy. ashley: shout the question loud did i. got to get his attention. >> i will. ashley: peter barnes at the white house. thanks so much. tracy: as peter mentioned the president's upcoming news conference we're going to talk more about it with "washington examiner" chief political correspondent, byron york. ashley: rumors flying again, blackberry could be going private. we'll have details on that next. first as we do every day at this time, look how oil is trading. it has been trading higher, significantly higher. up $2.77,.
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tracy: welcome back. we're following latest developments coming from jcpenney's boardroom. the company's chairman firing back against activist shareholder and board member bill ackman. he is base saying ackman's statements are misleading inaccurate and counterproductive. ackman is pushing for the struggling company to hire a new ceo within the next four or five days but the chairman went on to say the ceo search process is going at an appropriate pace. jcpenney's shares are tumbling and hit a fifth low earlier in the session. can you find a ceo in 45 days? ashley: that would be tough. but we'll see. you don't want to make a rush decision and get the wrong one. tracy: that's exactly right. ashley: coming up quarter past the hour. let's get back to nicole petallides at new york stock exchange. >> there are exciting names on wall street that have stories that go along with them. we follow blackberry so closely over the last year or so from research in motion to blackberry. we waited eagerly for the
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blackberry 10 which was 18 months later than we anticipated. only to find it has disappointed wall street. the ceo, mr. heins, talks about they have more products in the pipeline over next eight months and seems distance on the idea of going private at anytime and staying the course. however there have been reports that blackberry indeed may be looking to, now, go private. as a result, you're seeing the stock pop dramatically, up 7.25%. we'll continue to follow this story closely for you. we'll continue to follow the gap which has been a stellar performer this year. its up over 42%. you have analysts coming out and downgrading it, but really it's a valuation call. talking about the fact that the gap indeed run up so far, so fast and been a great performer under the gap's umbrella, banana republic. old navy. analysts are looking at it closely and basically a little
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congratulations because they have gone up more than analysts have anticipated. back to you. ashley: outperformed. you go to the gap much? >> no. >> i have to say i went recently and it was wonderful. tracy: but buy for the boys? is that why you went in? >> no. i recently went in, i had a moment and i don't ever shop. i have to be honest. ashley: news of the day, nicole petallides. >> it was great. i was surprised. ashley: she had a moment at the gap. nicole, thank you. for learning more and more about nicole every day. tracy: i thought shy was going to say senior moment. girlfriend, love you. i'm having senior moments every day now. charles payne is here. the dow is on track to snap a six-week winning streak. charles what does that mean? >> batten down the hatches and move to the mountains. ashley: we've been warned. >> i think it is mostly summer doldrums, overdue. i think, you know, think we do have some sort of a correction coming. it is all the doom and gloomers coming out of the woodwork. >> they have to be right sometime. >> again, if you say that the dow will go to 1,000 at 6,000,
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it is greater prediction at 15,000. go ahead, tracy. tracy: we had jeff saut on earlier, raymond james chief strategist, and there is a confluence of events coming together soon between d.c., europe. i mean, so it could all go really well or really bad. >> september is always a bad month. not always a bad month but historically has been a bad month. you're right. he have they have the debt ceiling debate. that derailed the market before. there is a lot of things to be concerned about. even with these earnings like the downgrade nicole is talking about. that is based on a stock being ahead of itself. it is not being downgraded because the economy is falling a part or the company is falling apart. that's a good arguement. we've come a long way in a very short period of time with this leg up in this rally so it is not unreasonable for it to pull back. people should be ready in september for maybe a lot more volatility and, along with that knowing what you own. i think priceline today is a great example.
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ashley: yeah. >> in 2005 that was a $17 stock. think about that for a moment. ashley: yeah. >> absolutely amazing. depends how long your horizon is. sometimes just being cool. no doubt about it, this is a week, not a red flag but a yellow flag. ashley: monday was the like the lowest trading day in a year. >> these are truly summer doldrums. i wouldn't read too much into it, except, september will be tough. not this weekend real soon. tracy: have a great weekend. thanks. coming up hair russburg, pennsylvania, tried to file for bankruptcy last year t was stopped by a judge. another pennsylvania city is on the brink. we'll have details ahead. right now, 7 years of music is being streamed. a quarter million tweeters are tweeting.
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>> at 20 minutes past the hour i'm arthel neville with your fox news minute. a judge today sentence ad bangladeshi man to 30 years in prison for attempting to use a weapon of mass destruction in what shorts authorities call the plot to blow up the new york federal reserve building. he was arrested in 2012 carrying inert materials he believed to be a bomb but were planted by fbi agents as part of a sting operation. president obama is due to sign a bill today that will save
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college students thousands in interest charges after they graduate. the legislation ends the dispute between the white house and republicans to restore lower rates before millions of students return to campus. and, even an nba champion and league mvp does his civic duty. lebron james showed up for jury duty in home town of akron, ohio, but the akron beacon journal says james did not get a chance to sit in judgement. he and his fellow jurors were sent home after two criminal cases didn't go to trial. hose are the headlines. you think that is funny. ashley: i don't know why. i imagine him sitting very tall in the jury box. >> can you imagine his knees. exactly. barricaae. ashley: arthel, thank you very much. >> it is the weekend. have a good one, guys. ashley: you too. after being the number one network for kids two to 11 last year and airing number one movie in cable history, ceo bob iger for theproud how the disney
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media company. dennis kneale spoke exclusively with ceo bob iger himself about that and so much more. dennis. >> one we talked to the disney ceo about, they create a franchise and move it into all the other businesses. one example is sophia the first. it premiered number one telecast in kids 2 to 5 in cable tv history. it quickly moved to become number one series kids 2 to 5. that knocks off nickelodeon after 17-year streak for "nickelodeon." and moves number one app store with ipad and dvds books and live show and character in disney theme parks. that is synergy. here is what eiger had to say about taking a franchise and moving it out to all the other places. >> when we tell a great story like sophia the first or create a great character or world people love to be in, then the success can be enormous globally across some platforms. it is very, very interesting
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world today, for content creators and for intellectual property because technology is offering us not only new ways to create things but so many new ways to reach people, and so many new ways for people to reach us. and explore and enjoy this great intellectual property. it is one of the most exciting times i think that has ever existed in media. >> and that disney channel is probably unwith best launchpads in all of showbiz. it is in 98 million homes in the u.s. 400 million around the world. look at a couple numbers, all right? disney channel is number one cable network in total viewers seven years. number one ages 6 to 11. number one in tweens, 9 to 14. and all the other age groups. it is amazing platform. teen beach movie launched on disney channel only in june. second highest rated cable movie of any kind of movie ever. number one was "high school
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musical" which disney channel made and ran. ashley: they crank up those. >> quite a franchise. that synergy really works. ashley: so far. tracy: stuff parents can sit through too. there is time kids stuff you can't stomach. >> extra layers of humor going on. tracy: i first to admit i sit through all this. find myself giggling. >> i watch hundreds of those shows. ashley: i'm not surprised. thank you, dennis. tracy: it has been three weeks since detroit filed for bankruptcy. now many are asking, well, which city will be the next to fall? gerri willis is here with a look at a few cities in pennsylvania that could be in trouble. a few? what the heck? >> no kidding. we've got a ton of cities in pennsylvania having major financial problems. ashley: yeah. >> leave you a little historical perspective. wind up the real here. municipalities that filed for bankruptcy. -@it's a long list, my friends. vallejo, stockton, san bernardino. goes on and on. jefferson county, harrisburg, detroit, central falls. the next detroit could be
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johnstown, harriesburg or scranton in pennsylvania. let me give you numbers. scranton by the numbers, per capita pension liability is almost 1500 bucks. capital long-term debt, almost $2,000. ashley: yep. >> their population decline from the peak, almost 50%. ashley: it is tough. >> only 61% of the folks who live there are employed. oh, my goodness. >> see multiple layers of problems going on. they owe a lot of money. most. people live there are not working. probably on the dole, getting money from the federal government. tracy: like "a tale of two cities." we have the governor talking about shale boom and how they're doing so great with fracking. ashley: not everyone doing great. tracy: western pennsylvania is doing great. these other cities are a mess. >> philadelphia having a big problem. all of those old cities, really struggling here. we started by talking about day voight. here is where i transition going on what to my show tonight. subtle right? ashley: very good. >> bill emerson, ceo of quicken loans is coming on. this company i'm sure you're
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familiar with. over the years they had budgeting software everybody was familiar with. people loved their product. now they have come out. they're making loans, mortgage loans all over the country. they're biggest online mortgage lender. they're the number three mortgage lender on line or bricks and mortar. number three. tracy: really? >> all of those big banks we talk about every single day, they don't necessarily have presence of quicken loans. the other thing that ties them to the story we were just talking about the company has been instrumental trying to bring detroit back from the brink. they built a glossy, beautiful headquarters in downtown detroit. tracy: wow. >> they're committed to seeing detroit do better. we'll talk about that we'll talk about the housing market. what is the future of loans right now. ashley: yay. >> where are we going with that. ashley: very good. tracy: good stuff. >> it will be a lot of fun. tracy: don't miss "the willis report" tonight 6:00 and 9:00 p.m. eastern right here on fox business. ashley: president obama set to give a news conference in about half an hour.
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he doesn't do these very often in front of the press corps. there is a lot to talk about before he goes on vacation from terror to immigration reform and oh, yeah, the debt ceiling. chief political correspondent byron york will be us to talk about the interview. tracy: as we go out to break look at winners and losers on the nasdaq. we'll be right back. if you've got it, you know how hard it can be to breathe and man, you know how that feels. copd includes emphysema and chronic bronchitis. spirivis a once-daily inhaled copd maintenance treatment that helps open my obstructed airways for a full 24 hours.
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with the bounce dryer bar, my clothes will be fresh out of the drawer foreeks. and it's great when things last a long time. well...most things. [ male announcer ] how do you get your bounce? [ woman ] can't regret fresh. adam: 90 minutes now until the close. nicole petallides at the stock exchange. nicole: all right, ashley. a lot to show you, initial
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public offering of cvent. this is a name that sword today. up at the highest point at 39.28. in addition to that, i will show you something they brought along. it looks like the next iphone seven. we were joking about this, but this is something they bring. cvent is an event management company online, they can provide places and things for your party, over 100 companies. this is the kind of thing that does exactly that. what an exciting ipo this is for the shareholder. back to you guys. ashley: nicole, thank you very
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much. tracy: fox contributor phil flynn in the pits of the cme. we have some upbeat data from china, that is helping, right? phil: i think it is. reports from the agency and opec raising demand expectations. we just settled the crude oil just short of 106. in the overnight session electronic session continuing the rally at 106.17. part of th the late rally. the futures, it is exploding right now, everybody is buying the front end, selling the back end. the traders are very worried about being short over the weekend or the demand will be very strong right now, demand is so strong you will not put oil away. whatever the reason, we are
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seeing it extend right now. you have to really worry what will happen on monday. a lot of times a late rally like this, nothing big happens over the weekend you sell off hard on sunday. if something does happen we could keep going. tracy: the news from child lived lifting copper prices, right? >> i tell you what. three weeks ago everybody wrote china off for dead. you get the strong data and you look at inventories falling all over the globe. we has inconsistent drawdowns in the stocks in london. in singapore. if nobody is using copper, where is the supply going? off to the races. back to you. tracy: have an awesome weekend. >> you to be at ashley: president obama will be holding his first news conference in over three months before taking off for a family vacation. sure to face questions on a
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number of issues ip surveillance programs. joining us now is a "washington examiner" chief political correspondent and fox news contributor. since april 30 the president has gone solo with the national press corps and there has been so much to talk about. it is interesting he talks about what is going on with the threat from al qaeda and addresses at first on "the tonight show with jay leno." kind of an off message to be sending. >> that had a lot of members of the press scratching their head. certainly not in big prime time news conferences, he has not had one of those in who knows how long. he has a lot to talk about on national defense in particular because the president has said in the past we help al qaeda on the run, the war on terrorism is winding down. now it appears al qaeda has us
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in a defensive crouch with 19 embassies still closed and will certainly get questions about whether the things he has been saying about al qaeda really match up with the reality we are seeing today. ashley: foreign affairs, nsa leak edwards noted. and affairs with russia. how much in fact you think he will get? >> there's not a lot good he can say about that because we appear to be stuck with the snowdon situation. really the only thing he could do, which is not meet privately with vladimir putin at the upcoming summit because clearly the united states wants custody of edward snowdon and russia has decided to give him at least a temporary home in russia. what is the president going to do? deliver a stern lecture and come out with nothing? he is in a tough situation and
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the less he talks about that probably from his point of view, the better. ashley: a lot of a lot of other things domestically to talk about. what are his plans to avoid a federal government shutdown. if a budget deal does not happen, what kind of rhetoric are you expecting from him on that issue? >> blame republicans, blame republicans, blame republicans. the government will run out of money at the end of september it has to be an agreement to raise the debt ceiling. i have said it before, no agreement on raising the debt ceiling without further cuts. what the democrats want is they want to cut a hole in the sequestration cuts. they don't think they are a good idea they want to get rid of them in some way. there is no agreement here. you will see exactly what has happened in the past which is it goes to the 11th hour and maybe the 59th minute of the 11th hour
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and some last-minute agreement after lot of threats. ashley: obamacare seems we hear daily of problems getting this new system in place or certain aspects of it are being delayed in terms of implantation. what kind of message do you think we will get from the president on that? >> this is where the president is operating from a position of strength because republicans are divided on how to oppose obamacare. they want to stop it, there are few members of the senate and the house who say we can somehow defund obamacare and a lot of other republicans who are saying we don't have the votes to do it. and they are correct. the president has the votes to keep it in effect. what he should be nervous about is when it goes into effect, what if it has a people's lives. lot of dislocation on rising holocauscost.
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ashley: thank you so much, we appreciate it. thank you. the president speaking in 22 minutes. we will see what he has to say. tracy: next, the rare disease drug maker soaring fell in the second quarter earnings. could it be a takeover target? we will ask the ceo. ashley: and a look at the 10- and 30-year treasuries. we will be right back. you make a great team. it's been that way since e day you met. but your erectile dysfunction - itld be a question of blood flow. cialis tadalafil for daily use helps you be ready anytime the moment's right. you cabe more confident in your ability to be ready. and the same cialis is the only daily ed tablet proved to treat ed and symptoms of bph like needing to go frequently or urgently. tell your doctor about all your medical conditions and medications,
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fox business reef. federal communications commission is urging cbs and time are cable to end the blackouts as soon as possible. they say they cannot do it on their own, the fcc is ready to step in and act. associates of bernie madoff will face trial october 7. new york judge refused to delay the fraud trial. defense attorneys objected to the word of the indictment alleging some defendants were told to commit fraud. they've entered pleas of not guilty. also inventory fell two tenths of a percent in june, the third straight monthly drop. sales grew by four tenths of a percent. the combinations leading the
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business to start restocking and good factory production coming months. that is latest from the fox business network, giving you the power to prosper.
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tracy: shares are soaring almost 25% today after a blowout quarter. the rare disease drug maker released his first commercial drug earlier this year. another one in the pipeline. joining us, company ceo. doctor, first we have to explain to people how you could be doing so well and not even have a commercial drug of your own. how are you making money? >> we are fortunate to have our first drug up in the u.s. it is a drug that really meets the needs of patients who need it. this explains the successful launch we have had so far. tracy: prior to this you are living off of royalties, another
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drug. >> that is correct. the most important one being amgen. tracy: more than $100 million in just royalties. >> that is very correct, doing phenomenally well. this is how we build value for the company and the shareholders and the patients. tracy: this first drug launch in her 25 year history, it was approved last december. only a few people may be 3000 to 5000 people actually have the disease this drug is helping. tell us about the disease. >> patients who unfortunately underwent an injection in their small got that rely on nutrition giving intravenously for their survival.
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our drug transforms and reduces the need for the deficient nutrition and for some patients they can get rid of it altogether. tracy: how do you choose this disease? spiegel everybody's going after diabetes because it is a great issue to be dealt with. we prefer to be nich, look for areas that there is a mathematical need are very few people are working on this particular area of medical need, and really very focused. the other aspect is our business model has been around the patient. we look at the patient first and make sure whatever we develop our related patient centric. tracy: you just mentioned this
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is also a rare endocrine disorder. this one is going up for fda approval as well. >> we are submitting to the fda this quarter and hopefully have it on the market next year in the u.s. tracy: as a niche biotech company are you ripe for takeover? something you're looking to do? >> our business plan is to develop the company and grow it and create value for the patient's first and the shareholders. tracy: does the sale of these drugs that support the bottom line? >> it does, it does. we don't have any competition and we are very targeted and we expand internationally as of march this year we are a global company. it is approved in europe and we are in process of launching internationally. tracy: you are having a good friday, that is for sure. thank you for coming in. ashley: we like that.
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a quarter until, times for stocks as we do every 15 minutes. joining us as we finish another trading week. how low the volume has been. can we expect this for another week or two before we start heading toward september? >> we got through second-quarter earnings season relatively unscathed. still writing all-time highs, it is not unreasonable to see people take a breather on thiss% and in addition to the fact we have an awful lot of heavy economic data hitting us next week. people are curious to see where those numbers come in because it will dictate more. ashley: thank you, we appreciate it. tracy: up next, making market history. we will take a look at the s&p 500 companies whose shares
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tracy: we have a fun stock alert for you. check out priceline. so rather than stated earnings enclosed $1000 per share. the hit that milestones it will be the first for a stock i s&p 500. shares in all-time high at today's session in one of the main factors driving results, growth in hotel room nights. but it has jumped 38% from last year to 69.4 million room nights in the second quarter. captain kirk very happy.
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he's a happy guy today. ashley: no surprise there beating wall street estimates. is this a sign of the industry on the road to recovery? joining us now an analyst. thank you for being here. it all seems a lot more positive. we have seen the hotels turn things around. >> we are definitely in recovery mode. there's been a couple of years of the depths of the downturn and we're definitely seeing the industry recover. particularly over the last three months we've seen more spotty results but generally a positive cycle. spiegel is it the leisure travel or business traveler that is perhaps lacking a little bit? >> that is a great question. legal stayed strong throughout the cycle but the business travelersshave coming much more
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stronger lately. some of it seems to be related directly to the sequester. the sequester impact has held back a little bit of the growth that we have been expecting but business travel is still very strong. ashley: do you have standout picks and particularly well right now? >> in the brand area we think they're doing very, very well, the results have been quite solid and results in line with expectation despite their exposure to government and to the washington, d.c., area. the government business has shrank, and i think that is really positioned them well in the sequester environment. they are the most domestic of the brands and frankly europe is very slow and china is slowing down so this has meant things has worked well.
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an owner of about half of their portfolio, have the cash flow comes from assets in new york city. generally slight service assets like hilton garden inn and hampton inn and marriott courtyard another residence. they have performed quite well. new york city is a very hot market, has been consistently hot. it has seen supply growth but we think they are undervalued given the assets they had a major metropolitan markets on the east and west coast. >> and i don't want to get the ipo hilton anticipated maybe early next year. we also hear la quinta chain could be gearing up for an ipo. just in general terms, david, is this a smart move? we know the hyatt raised about a billion dollars in his stock up 77% since that ipo. does this make sense to you? >> i guess what i will answer is
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that the environment is certainly positive toward ipos. i will not go to individual companies, but frankly this is a good time in the hotel cycle, we think there are probably two and half years left in this positive cycles of your win quite up in a company public, this is neptune time to be thinking about that because you can still see some upside in the cycle going forward. ashley: the hotel chains, upscale or budget, you still doing good deals out there? >> there are good deals to be had, i think they will get harder and harder to find in the months ahead. ashley: i think you are right. thank you so much, we appreciate it. tracy: back-to-school shopping season gearing up and time to load up on slides, yellow pencils. looking for an upgrade, german-based company offering
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the perfect pencil. you may want to save your time if you want this one. costing $425. so what makes it so fabulous? the pencils made with only the finest materials like california cedar, and has a ribbed texture for a better grip. the real selling point is the casing. which keeps the pencil sharp allowing you to carry it in your pocket like a pen. ashley: like a nerd. tracy: the perfect pencil has quite the following. even president obama has one. don't worry, he did not use taxpayer money, he got it as a gift from the european commission. ashley: what a waste of money, i am going to say. "countdown to the closing bell." we'll be checking with the news conference as well as a question-and-answer session where he is sure to be asked
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about his lifting the clear of the u.s. economy, his next pick to lead the fed. that and the rest of the market action straight ahead on "countdown to the closing bell." any last requests mr. baldwin? do you mind grabbing my phone and opening the capital one purchase eraser? i need tredeem some venture miles beforey demise. okay. it's easy to erase any recent travel expense i want. just pick that flight right there. mmm hmmm. give it a few taps, and...it's taken carof. this is pretty easy, and i see it works on hotels too. you bet. now if you like that, press the red button on top. ♪ how did he not see that coming? what's in your wallet?
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have already enrolled in the only medicare supplement insurance plans endorsed by aarp don'wait. call now. ♪ david: hi, everybody. this is the last hour of trading and we are awaiting president obama's news conference after white house. it will be his first press conference since april 30. peter barnes with breaking news on what we can expect with the phone taps and so forth, but also some possible news on the fed, right? >> that is right, david. we expect plenty of questions of domestic and foreign policy starting off with the future of the u.s.-russian relationship after he canceled the summit meeting with vladimir putin said
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in line with an edwards noted a fair that pivots into the controversy about snowed in and those surveillance programs. in ministration official says the president will announce today new measures to increase transparency and restore public trust in those programs. the president can get form policy questions on al qaeda, the closing of u.s. embassies in africa and the middle east, israel, benghazi, to messy policy issues splitting possible questions and importation of obamacare, the budget battle with republicans, the irs scandal, the economy and i would like to ask him about his search for the next head of the federal reserve come as you know there are three candidates. larry summers, current vice chair, and former vice chair of the fed. david. david: everybody has their best in

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